# A real-estate agent compares the selling prices of homes in a municipality in southwestern PA compared to the average selling

## Question:

A real-estate agent compares the selling prices of homes in a municipality in southwestern PA compared to the average selling price of a home in PA(125,000)to see if there is a difference. The results of her study are shown. Is there enough evidence to reject the claim that the average cost of a home in Scott Township is different than the average population price in PA?

Scott: Xbar = 123, 430 standard deviation = 3702 n = 25

a. What interval method will you use to create your interval and why?

b. Create a 95% confidence interval.

C. Create a hypothesis test at alpha = 0.05 testing the claim that the average

cost of a home in Scott Township is different than the average population price in PA

. Do you accept or reject the null hypothesis?

*State the null and alternative hypothesis.

*Calculate the test statistic

*Draw the normal curve with boundary values for the one or two sided test.

*Clearly state of you accept or reject the null hypothesis.

**Related Book For**

**View Solution**

**Cannot find your solution?**